Business research news, tips, facts and sources from the Library research team at the London Business School Library.

31 January 2012

The Sky Is Rising: A Detailed Look at the Entertainment Industry

Concurrent with the MIDEM music business conference in France today, the Computer & Communications Industry Association released a study it commissioned, “The Sky is Rising,” by Mike Masnick, who writes about technology policy for Techdirt and is founder and CEO of Floor 64. The economic report on entertainment over the past decade found that the entertainment industry grew 50 percent while consumer spending on entertainment also increased.

Some findings:

Using numbers from the US Bureau of Labor Statistics, the study charts how consumer spending on entertainment as a percentage of their household income rose 15 percent from 2000 to 2008.

BLS data also show entertainment sector employment also grew 20 percent during that last decade and 43 percent for those identified as independent artists.

According to MPAA, box office revenues grew 25 percent from 2006 to 2010 from $25.5 billion to $31.8 billion.

Data from PricewaterhouseCoopers and iDATE show that from 1998-2010 the value of the worldwide entertainment industry grew from $449 billion to $745 billion.

From 1999 to 2009 music concert sales in the US tripled from $1.5 billion to $4.6 billion

Consumers’ choices growing as more movies are produced jumping from 5,635 films produced globally in 2005 to 7,193 in 2009.